INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART VI - COLLECTION AND RECOVERY OF TAX  

Division 3A - Collection of tax in respect of certain payments for work  

Subdivision B - Operative provisions  

SECTION 221YHR   HIGHER DEDUCTION PERCENTAGE ELECTIONS  

221YHR(1)   Payee may give form to eligible paying authority.  

Subject to subsection (2), a payee who becomes entitled to receive a prescribed payment may at any time before the payment is made give a completed higher deduction percentage election form to the eligible paying authority liable to make the payment.

221YHR(2)   Payee declaration must be in force.  

The payee may only give the form if a payee declaration made by the payee to the eligible paying authority is in force when the payee is to give the form.

221YHR(3)   Meaning of ``higher deduction percentage election form''.  

A ``higher deduction percentage election form'' is a document that states a percentage that the payee elects to have deducted from:

(a) one or more specified prescribed payments; or

(b) all prescribed payments made to the payee before a specified date.

221YHR(4)   Meaning of ``higher deduction percentage election''.  

If a payee does as mentioned in subsection (1), the payee is said to make a ``higher deduction percentage election'' to the eligible paying authority.

221YHR(5)   Cancellation of election.  

The payee may at any time cancel the election by giving written notice of the cancellation to the eligible paying authority.

221YHR(6)   Period in force.  

The election is in force in relation to prescribed payments covered by it that are made before any cancellation.

221YHR(7)   Retention of election document.  

The eligible paying authority must keep the document in which the election is made for 5 years after the end of the financial year in which:

(a) the prescribed payment, or the last of the prescribed payments, mentioned in paragraph (3)(a) is made; or

(b) the specified date mentioned in paragraph (3)(b) occurs.

221YHR(8)   Offence.  

If the eligible paying authority (not being a government body) contravenes subsection (7), he or she is guilty of an offence punishable on conviction by a maximum fine of $1,000.